(a) whether failure of Indian Airlines to ensure proper and timely remittance of dues has resulted in a blockage of huge amount which runs into several crores of rupees with the Travel Agents authorised by the I.A.;
(b) if so, the details thereof as on date; and
(c) the steps taken to recover the outstanding dues?
MINISTER OF STATE OF THE MINISTRY OF CIVIL AVIATION ( SHRI PRAFUL PATEL )
(a) and (b): The total amount recoverable from defaulting agents as on 31st March, 2004 is Rs. 6.12 crores. A statement showing details including latest status of recovery action is annexed.
(c): Indian Airlines has laid down comprehensive guidelines in respect of appointment of sales agents, payment procedure, insurance of ticket stock etc. to safeguard its financial interest. The bank guarantee is obtained wherever required, payment is strictly monitored and recently a credit risk insurance coverage is also obtained. Indian Airlines has taken a credit risk insurance Policy to cover the losses due to payment defaults of domestic agents in respect of domestic sales w.e.f. May, 2002. Accordingly, in case of default covered under the said insurance Policy the amount is claimed and recovered from insurers.
Indian Airlines has taken various steps to liquidate the dues such as invoking of bank guarantee, initiating legal proceedings, taking up with IAAI/IATA-BSP, lodging insurance claim under credit risk insurance policy etc.
ANNEXURE
Statement of dues recoverable from the defaulting agents as on 31st March`2004
Sl.No. Name of the Agency Amount Period of Remarks Outst- Outstanding anding (Rs. Lacs)
1 Menaka. Travels, Hyderabad 12.06 1992-93 Decree obtained in favour of IC 2 Silver Streak,Chennai 2.15 1995-96 Decree obtained in favour of IC 3 Sagar Travels,Chennai 1.64 1996-97 Write off action initiated 4 United Tours,Calicut 0.40 1997-98 Write qff action initiated 5 Travel Point,Hyderabad 12.38 1997-98 Decree obtained in favour of IC 6 Eastman Tours & Travels,Chennai 1.29 1998-99 Action for recover through T AAI initiated 7 Sagar Travels,Vizag 5.58 1998-99 Under legal proceeding I court case 8 Shibi Travels,Chennai 1.49 1998-99 Action for recover through T AAI initiated 9 Calicut Tours & Travels,Calicut 4.59 1999-2000 Under legal proceeding I court case 10 Palladium Travels, Bangalore 11.50 2000-01 Under legal proceeding I court case 11 Hemagiri Travels,Bangalore 42.09 2001-02 Under legal proceeding I court case 12 G.N.World Travel, Hyderabad 2.81 2001-02 IATA-pro rata settlement done being followed up 13 Sahina Travels, Calicut 23.70 2001-02 Claim with IA T A-BSP 14 Sujavi Travels, Bangalore 5.23 2001-02 Under legal proceeding I court case 15 Pentalpha travels, Calicut 4.26 2002-03 Claim with IA T A-BSP 16 Emperor Traveline, Coimbatore 7.88 2002-03 Claim with lATA-SSP 17 DSP Tour & Travels, Sangalore 1.74 2002-03 Settlement is expected by Sept`04 18 Fathima Travels 5.91 2003-04 Claim with Insurers 19 K R Tours N Travels 7.76 2003-04 Claim with Insurers 20 Tirur Sa-fiya Travels 0.65 2003-04 Claim with Insurers 21 R. K.Travel,N. Delhi 4.31 1991-92 Under legal proceeding I court case 22 Travel Mart,N.Delhi 5.55 1991-92 Under legal proceeding I court case 23 MAC Travel, Aligarh 7.75 1991-92 Under legal proceeding I court case 24 Razdan Travels 21.94 1993-94 Decree obtained in favour of IC 25 Shah Travel, Srinagar 14.04 1992-93 Under legal proceeding I court case 26 AS. Travels 3.91 1995-96 Under legal proceeding I court case 27 Winfield Travels 43.07 1997-98 Under legal proceeding / court case 28 Blue Bird Travel,Srinagar 0.17 1998-99 Under legal proceeding / court case 29 On Wheel Trav.els, Chandigarh 1.02 1998-99 Under legal proceeding / court case 30 Tina World Travels 5.15 1998-99 Under legal proceeding / court case 31 VPL Travels 10.61 2001-02 Bank Gurantee being invoked 32 Aqua Travels, Delhi 18.65 2002-03 Claim with Insurers 33 India Air Travels, Delhi 10.79 1997-98 Claim with Insurers 34 Pooja Tours & Travels, Delhi 20.74 2002-03 Claim with Insurers 35 Shikas Travels, Delhi 15.08 2002-03 Claim with Insurers 36 World Veiw Tour & Travel, Delhi 9.54 2003-04 Claim with Insurers 37 Entellus Tour & Travels, Jaipur 0.09 2003-04 Claim with Insurers 38 Asha Travels, Jammu 0.01 1998-99 Under legal proceeding / court case 39 Classic Tour &Travels, Faridabad 8.16 2002-03 Claim with Insurers 40 Avadh Travel & Tour bureau, Luckno 13.09 2002-03 Bank Gurantee being invoked 41 Aditya Yash Travels, Raipur 4.85 2001-02 Bank Gurantee being invoked 42 Senior Travels, Mumbai 0.66 1994-95 Under legal proceeding I court case 43 Real Value, Mumbai 25.36 1998-99 Under legal proceeding I court case 44 Olympic Express, Mumbai 1.03 1998-99 Under legal proceeding I court case 45 Ravi Travels, Pune 36.49 1998-99 Under legal proceeding I court case 46 Newfly travels, Mumbai 4.77 2002-03 Under legal proceedings 47 New Maharaja Travels, Baroda 8.12 2002-03 Under legal proceedings 48 United Air Travels, Goa 6.42 2002-03 Under legal proceedings 49 N T V Travels, Mumbai 1.17 2003-04 Claim with Insurers 50 Phoenix Travels, Mumbai 11.40 2003-04 Claim with Insurers 51 Wasco Trade, Nagpur 35.97 2003-04 Claim with Insurers 52 Multipurpose Pvt. Ltd., Mumbai 6.58 2003-04 Claim with Insurers 53 Y S International, Mumbai 15.75 2003-04 Claim with Insurers 54 Piercy Exim Fin.,Calcutta 11.49 2000-01 Under legal proceedings 55 Travel Bureau, Kohima 4.85 1999-00 Under legal proceedings 56 Asco Travels, Gauhati 5.20 1992-93 Decree obtained in favour of IC 57 Ganesh Travels, Agartala 5.67 1993-94 Under legal proceedings 58 Laxmi Travels, Agartala 7.60 1998-99 Under legal proceedings 59 Mintri Transport,Kalimpong 7.74 1999-2000 Under legal proceedings 60 Shah Travel, Kolkata 7.11 1999-2000 Under legal proceedings 61 Continental Travels, Gauhati 0.21 2001-02 Recovery action being initiated 62 Friends Travels, Gauhati 0.02 1992-93 Recovery action being initiated 63 M S H Travels, Gauhati 0.34 1990-91 Recovery action being initiated 64 Blue Bird Travel,Kolkatta 18.79 2003-04 Claim with Insurers 65 Gemex travel. Kolkatta 2.61 2003-04 Claim with Insurers Indian air travel, Kolkata 13.28 2003-04 Since, realised
Total 612.24
IC - Indian Airlines TAAI - Travel Agents Association of India IATA BSP - lATA agency for Bank Settlement Plan